Technical Analysis of PTL on 4 Jan 2017

Technical Analysis of PTL on 4 Jan 2017 (after trading hours)

This is no buy/sell recommendation - just a trial to see if Technical Analysis (works to an extent) in Dhaka Stock Exchange.

Fundamental Analysis: From the reported profits and EPS, I would say it is an OK company. Not a growth story. PE of 12 seems OK.

Last two years, it is giving Cash Dividends – but I do not think “current” Fundamentals justify higher price than current rate.

But one never knows what will happen – will PTL’s profits increase in the next quarters?

	2013	2014	2015	2016
Profit	180	187	194	202
EPS	2.12	1.96	1.77	1.84
Dividend	12%B	15%B	16%C	10%C + 7%B
NOCFPS		4.0	3.5	2.5

Technical Analysis: Previously it was moving in a nice trading range from around 15 to 20 - around 30% return - from April '14 to June '16. Then the price movement started changing with increased (volume) activity.

Now, if it can break Resistance around 22.5, then we might see some fireworks.
*Note: This is weekly chart, so it would take some time . . .

It is for the bold risk takers – not for me ;-) Stop loss would be 20.

As the Index is nearing Supply Zone, be wary of opening new positions, especially at High Prices.

Let us see what happens . . .